Cash Flow Forecasting

Let us help you understand Cash Flow Forecasts

Cash is King.... or, to put it another way, if you run out of cash, regardless of how profitable your business is, you will go bust whether you are a Limited Company, Partnership or a Sole Trader.

To stop this from happening you must use Cash Flow Forecasting. This will help you predict peaks and troughs in your cash balance and is a valuable tool when used in conjunction with management accounts.

Cash Flow Forecasting helps you to plan borrowing and tells you how much surplus cash you're likely to have at a given time. Many banks require forecasts before considering a loan.

The Cash Flow Forecast identifies the sources and amounts of cash coming into your business and the destinations and amounts of cash going out over a given period.

If you need any help with Cash Flow forecasts please contact us